+1-800-997-1228
Questions & Answers

How can I withdraw my EB-5 regional center petition and get the investment back?

If I invest $500,000 into a regional center and have already submitted my I-526, would I be able to pull this investment back and withdraw my application? If my I-829 gets rejected, do I get my investment back immediately?

Answers

  • Avatar

    Daniel A Zeft

    Immigration Attorney
    Answered on

    You may be able to get back your $500,000 from the regional center if your investment has not been spent on the EB-5 project. You should look at the applicable agreements and documents which you signed. These documents should address what happens in this situation.

  • Avatar

    BoBi Ahn

    Immigration Attorney
    Answered on

    The exit strategy (i.e., return of funds, etc.) should be spelled out in the terms of your agreement with the regional center.

  • Avatar

    Raymond Lahoud

    Immigration Attorney
    Answered on

    The answers to your question depend on the underlying offering documents and agreements. It is important that you contact immigration counsel to discuss your options.

  • Avatar

    Julia Roussinova

    Immigration Attorney
    Answered on

    You will need to review your offering documentation, such as PPM or limited partnership agreement to see what the exit terms are for your project. Many regional center projects allow withdrawal as a limited partner and return of investment capital under specific circumstances during the I-526 or I-829 stage and if they find a replacement investor.

  • Avatar

    Charles Foster

    Immigration Attorney
    Answered on

    You may withdraw your EB-5 regional center petition filed on Form I-526 at any time. However, if you do so, you will immediately lose the advantage of having filed the petition to begin with. Whether or not you will be able to recoup your investment depends upon the terms of your original agreement with the regional center and project developer; all of that should have been set forth in the private placement memorandum (PPM). These are issues you would have to discuss via your attorney and/or agent in order to determine what your rights are should you withdraw your petition, whether the regional center/project developer can find a substitute investor and, again, what the PPM provides.

  • Avatar

    Marisa Casablanca

    Immigration Attorney
    Answered on

    When you signed offering documents, there would a clause in those documents that would address your questions. Most regional centers do allow a return of the investment under certain conditions.

  • Avatar

    Dale Schwartz

    Immigration Attorney
    Answered on

    You can always withdraw your EB-5 application at any time (even after it is approved!), but the question of getting your money back from the regional center or other manager of the investment is more problematic. It really depends on the language in the stack of paper you received and signed for when you made the investment. In most cases, you would not be allowed to get a return of your investment. However, we have received investments back from some of the larger regional centers. There was no legal requirement to return the money, as, after all, "a deal is a deal." But some of the larger EB-5 companies have refunded all or most of their investor's money upon a showing of good cause (i.e., the investor got a green card through some other method, someone in the family died, they had a financial emergency and needed the money back, etc.) Some of the better regional centers have waiting lists of investors who want to invest and they do not mind returning their clients' money for good cause. Your mileage may vary!

  • Avatar

    Lynne Feldman

    Immigration Attorney
    Answered on

    It depends on the terms in the documents you signed with the project.

  • Avatar

    Jinhee Wilde

    Immigration Attorney
    Answered on

    Whether you may withdraw and get your investment back depends on the language provided in the subscription agreement and the limited partnership agreement. If you recently filed I-526 and now you wish to withdraw, it may be easier for the regional center to substitute you with another investor and give you your money back. However, if you are in the I-829 process, I would think the only way for you to get your money back is when the partnership is ready to dissolve or get the whole partnership's money back.

  • Avatar

    Osvaldo F Torres

    RC Creator
    Answered on

    Generally, your right to withdraw from the company that you invested in and receive a refund is entirely dependent upon the terms of the operating agreement/partnership agreement of the company, which governs your contractual rights. Most EB-5 deals do not permit voluntary withdrawal. However, there may be circumstances under which you may be able to demand a refund. Of course, if your funds were invested into the project and the company does not have available cash to repay you, that will complicate things. Review your agreement and the PPM to see what it says about withdrawal.

  • Avatar

    Bernard P Wolfsdorf

    Immigration Attorney
    Answered on

    You have to see the terms of the subscriptions agreement regarding return of funds. Denial of an I-829 normally does not not entitle an applicant to a refund, as this is regarded as an unauthorized redemption.

  • Avatar

    Salvatore Picataggio

    Immigration Attorney
    Answered on

    That depends on the procedures of the regional center you are working with. Some allow for refunds only under certain circumstances. I would want to review the offering documents to find out more.

Add your comment

Use a Facebook account to add a comment, subject to Facebook's Terms of Service and Privacy Policy. Your Facebook name, photo & other personal information you make public on Facebook will appear with your comment.